Loan dispersal delayed to NSMU, community college freshmen

About 900 first-semester freshmen at New Mexico State University and its community colleges won't receive their federal student loans until Sept. 20. University officials implemented the delay in an attempt to address rising student loan default rates at the school.

First-time freshmen borrowers are the mostly likely to leave college and not pay back their loans, said Bernadette Montoya, NMSU's vice president for student affairs and enrollment.